Goldman Bullish on the Energy Sector; Suggests Buying Calls (XOM, CVX)

Goldman Sachs if out with a research note this morning, where it suggest traders and investors amplify their exposure to upside in energy stocks by buying calls. The analysts said, “Call buying is our favorite strategy in the Energy sector in early 2011 as options prices are attractive and our analysts expect strong fundamentals to drive stocks higher. We see the potential for upward revisions to global growth forecasts to drive upside to oil prices, earnings, multiples and ultimately, our nine selected stocks.” Goldman's nine favored stocks are Marathon Oil Corporation MRO, Murphy Oil Corporation MUR, Suncor Energy SU, EOG Resources EOG, Baker Hughes Incorporated BHI, Chevron Corporation CVX, Exxon Mobil Corporation XOM, Halliburton Company HAL, and Apache Corporation APA.